India, China discuss incursions, review ties

India and China today discussed the recent spate of incursions and ways to maintain peace and tranquility along the Line of Actual Control (LAC) in the border areas

NEW DELHI: India and China today discussed the recent spate of incursions and ways to maintain peace and tranquility along the Line of Actual Control (LAC) in the border areas.

During the 5th round of India-China Strategic Dialogue, resumed after nearly three years, the two sides discussed key bilateral, regional and global issues of mutual interest including ways to reduce trade deficit and trans-border rivers, Ministry of External Affairs said here.

The Indian side was led by Foreign Secretary Sujatha Singh and the Chinese side was led by Vice Foreign Minister Liu Zhenmin during the dialogue which discussed ways to maintain peace and tranquility along the Line of Actual Control (LAC) in the India-China border areas, the MEA said.

This comes in the backdrop of series of Chinese incursion in Ladakh sector, including a major 21-day-long "face-to-face" situation in April.

The two sides also took stock of developments in bilateral ties since the visit of Chinese Premier Li Keqiang here and also prepared the ground for a possible visit of Prime Minister Manmohan Singh to China later this year.

The three-hour-long meeting also focused on ways to expand bilateral trade and investment while addressing problems of the large and growing deficit faced by India.

Setting up of industrial investment parks in the country to get inflow of money by entering into an MoU to this effect and export of cotton fabric to China with a target of USD six billion were among the points discussed in the meet.

In a bid to address the trade deficit in short-term period, the two sides also discussed the possibility of increase in export of buffalo meat to China, a pact for such an export was inked during Li's visit in May here. The Chinese demand for Indian buffalo could be worth USD 1 billion a year, according to officials.

India is currently the world's largest exporter of buffalo meat selling USD 3.2 billion to more than 65 countries.

The two sides also talked about the potential and prospect for Bangladesh-China-India-Myanmar (BCIM) economic corridor with India identifying its share of the component and now awaiting Chinese response.